Money Beat

As long as it doesn't put Citibank in any danger, it's all good.

I'm in Charlotte- a lot of our economy is linked to Wachovia. We are buying up bread supplies now.....

THEY JUST SAID CNBC THAT A VOTE WILL BE HELD AT 1:00PM ---------- WE NEED TO FLOOD THE PHONE LINES IN DC AND YOUR REPS OFFICES -------- EMAILS WILL NOT EVEN BE READ BEFORE THIS VOTE ---- THEY WILL HEAR ABOUT THE PHONE SYSTEM BEING DOWN DUE TO OUTRAGED CITIZENS ------------- CALL YOUR REPRESENTATIVES AND SENATORS AT 800-473-6711 OR 202-224-3121 AND SAY NO BAILOUT

THE WHOLE ECONOMIC SYSTEM "SUCKS"
BECAUSE THE WALL STREET IS OUT OF
CONTROL FROM THE SEC.......
GO FIGURE...........
WITHOUT STRICT LAWS AND REGULATIONS
FROM U.S. CONGRESS THE 700 BILLION
DOLLAR PACKAGE WILL BE A TOAST FROM
THE WALL STREET "FAT CATS"

REMEMBER ME!!!!!!!!!!!!!!

just heard Congress woman Michele Bachmann say that there is a new group that has a few simple changes to the accounting rules that can REPLACE the need for a BAILOUT. But you need to call your Representative to get them to hold off their vote and meet with this group : (202) 224-3121

Does this not frighten you? According to the New York Times, this is "a move that that would concentrate power within
the nation's banking industry in the hands of a few giant lenders."

I sure hope the CEO's who weren't doing their job are not still employeed. They should have to answer for their crimes!!

Magda is absolutely right. Usually there is antitrust review and seeing what it does to competition but now the feds are just feeding everyone to a few New York banks. Aren't they they source of the trouble to begin with? It's time to go back to local banking in my opinion.

Why is everyone so upset?
A bank merger sure sounds a lot better than a government bailout.

I am sure that the founder of First Union that acquired Wachovia some time ago is spinning in his grave. Greed is the the worst of the deadly sins and the US has a few who have greed on their minds all the time. I am thankful that their still are a great number of honest businessmen. The CEO of Costco is a good example.

It was a fun ride while it lasted. I've been stockpiling bread, canned goods, water, dried fruit, and cash. Don't know if the cash will be worth anything in a few days. I have some gold and silver in case I have to barter. America, R.I.P.

So, we can spend spend spend in Iraq and build that up, but we can't drop $700B in America? That makes no sense. People have griped about spending money here - here's your chance to spend money in America. Oh, and my salad dressing is on sale this week, 25% off.

Ok...so where does this put the little guy..the one who has his checking and savings in Wachovia? What is our bank now and how does that effect our paychecks being direct deposited every week? I know this sounds small and piddley to some of you but some of us are living paycheck to paycheck and can't afford to lose anything more.

To Bernard and Homer obviously the same person. This bailout is necessary unfortunately. There is much more going on here then you realize or understand. I agree that there was a lot of irresponsible people in finacial sector as well as loan people who were responsible for this mess. But to not fix this and let everything colapse would lead to a catastophic result. We have no choice but to fix this and hope that the people responsible are fired for their incompetence.

To me this is all pretty scary. I know the school of thought is let the guy fall if he can't make it but I have a real problem with Mega Corporations swallowing up the world. Near monopolies is one of the problems we are having with our country. These few enormous companies are able to cut mom and pop right out of the market. Family owned business is falling by the wayside by the creation of huge Wal-Mart style corporations. The new Mega-Corporations now control most media, banks, gas stations and are zooming in on groceries. They can set prices anyway they want and control the labor markets. If they want to cut your pay or benefits you can’t just quit because they also own all the jobs in the market. Mom and Pop business is slowly becoming a thing of the past. Republicans always tout being for the small business when ever taxes are mentioned when in reality they only care about the growth of huge firms. Unfortunately that growth is at the expense of small business.

I heard on the news when Clay Aikins was offered $500 thousand to fess up he's gay, the banks managements fessed up their gay too just to get money to bail them out. HA HA HA HA HA

Great. Citi-group, one of the most under-staffed banks I know of, now will take over Wakovia, and people will get even less service and higher fees than they used to. Lovely.

Its been a long time since the Financial Accounting Standards Board (FASB) has become natinoal news. However, their "fair value" accounting model and standards apparently do not work in markets such as this and have exceberated the fincnial crisis.

the mark to market provisions of all assets, make no sense when you have dysfuntional markets, nor any market for that matter. Assets are market to zero, their traded or non-trade value in accordance with the FASB standard. Even though the underlying asset has value.

The FASB's model and methods while sounding good on teh service misleads the investor, public or any user of the GAAP financial statements.

Citi will 'absorb' up to $42 billion in losses, indicating that they don't even know how much, if any, loss will be incurred. That tells a great deal about how bad this 'crisis' has effected citi. Sounds like they are getting Wachovia at a fire sale price to me.

THE COLAPSE OF THE "ROMAN EMPIRE" PART TW0.

Directly from the FDIC website " Citigroup Inc. will acquire the bulk of Wachovia's assets and liabilities, including five depository institutions and assume senior and subordinated debt of Wachovia Corp. Wachovia Corporation will continue to own AG Edwards and Evergreen. The FDIC has entered into a loss sharing arrangement on a pre-identified pool of loans. Under the agreement, Citigroup Inc. will absorb up to $42 billion of losses on a $312 billion pool of loans. The FDIC will absorb losses beyond that. Citigroup has granted the FDIC $12 billion in preferred stock and warrants to compensate the FDIC for bearing this risk." ?? Since when is the FDIC in the business of guaranteeing loan losses? I thought they only guaranteed deposit accounts? What the f is going on? The FDIC does not have enough funds to guarantee loan losses. What the f is happening to our financial and government? Are we really on the verge of economic meltdown like great depression? I didnt think so before but now. This is a very unsettling development.

Wachovia... pronounced "Walk over ya".

In case you didn't notice 91 DEMOCRATS Voted Today Against the bailout bill....So why would Pelosi even bring the bill to the table if her own didn't want it. The Dem's had plenty of votes to pass it.

Wachovia has paid big fines for some if its unethical ways. This was a predator bank, I suggest going with a good federal credit union that has been around for a while.

THE SKY IS FALLING, THE SKY IS FALLING...

WOLF WOLF WOLF!!!!

Give me a break.

The only catastrophe will be for those that have KNOWINGLY overspent while trying to beat the joneses.

The greed of many will surely have it's consequences.

I'm glad to see the banking industry starting to step up and avert the crisis themselves, but I wonder in the long run is it good to have these huge financial companies. Is it good for the long-term view of the financial industry? Isn't is less risky to have many smaller banks so if one fails it only impacts a small part of the market and the FDIC can step in? What happens if Citibank fails? Can the FDIC cover that?

I had a HORRIBLE experience at Wachovia last week when I (a non-customer) tried to cash a Wachovia check. There was not another customer in the bank and the three tellers were all on the phone. The one who hung up to wait on me informed me two minutes into the transaction that there is a fee for non-customers to cash Wachovia checks there. I sent an e-mail to their customer service department and was told that this was their policy in order to ensure that their customers do not have to wait in long lines caused by non customers (who could potentially become customers.) I must say...I was not surprised to hear that they were being "acquired."

Citi Bank has problems of it`s own.

As the result of financial crisis due to bad mortgage loans, the banking business is in tougher position than the automotive business in Detroit.
Although the Citi bank stated in their press release that only 5% of the Wachovia bank branches may close, which means small percentage of job cuts, the Wachovia employees will suffer huge financial loss in their retirement savings as their stock went down from 60 to 3 dollars in three years. In just one day alone, i.e. the day the bailout bill rejected in Congress, the stock of Sovereign bank fell 72% for no obvious reasons

Citi acquiring Wachovia!!!!a bad servicing bank acquiring an other to make a huge bad servicing bank....intersting times...now the bad service has even a higher price.